Inflation and Deflation

WASHINGTON (AP) — A plunge in gas prices last month lowered consumer prices by the most in six years. But excluding the volatile food and energy costs, prices rose. The Labor Department said Thursday that the consumer price index fell 0.7 percent in January, the sharpest drop since December 2008. Tumbling prices at the pump drove nearly all of the decline. Core prices, which exclude food and energy, rose 0.2 percent. The cost of clothes, hotels and restaurants all rose. Overall consumer prices have slipped 0.1 percent over the past 12 months. It is the first yearly drop in five years. And over the past year, core prices have risen just 1.6 percent, below the 2 percent level the...

Related "Inflation and Deflation" Articles

WASHINGTON (AP) — A plunge in gas prices last month lowered consumer prices by the most in six years. But excluding the volatile food and energy costs, prices rose.
The Labor Department said Thursday that the consumer price index fell 0.7 percent in...

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